A Discourse on Construction Quality

Construction quality is one of the factors by which the success or failure of a
project may be measured. The other two main factors are time and money. These
three are sometimes referred to as the key performance metrics by which most
owner’s satisfaction with the contractor's project delivery process is
measured.

There may be a few more that some owners may add to this list—such as
safety, relationship, turnover, etc. The time factor reflects if the project
was delivered on time, in accordance with the contract, or within a reasonable
time frame. The budget factor reflects if the project was completed within the
owner's budgetary objectives or expectations. And finally, the quality
factor reflects if the project achieved the owner's quality expectations.
However, the perception of the quality of the completed structure (project) may
very well be influenced by how it performs after the facility is
occupied.

Figure 1—The Three Performance Factors of Projects

Quality can be a subjective term for which different people may assign
different meaning, understanding, or expectations. Quality may be defined as
the characteristics of a product or service that impact its ability to meet its
intended use or utility. The American Society for Quality (ASQ) defines it as a
product or service free of deficiencies. This relates to the state or
functionality of the final product or service delivered. Related aspects may
include what constitutes quality, how it is defined, whether it is clear and
readily understood and measurable, etc. The project documents, generally the
specification, define quality and establish the expected level for it.

Establishing the Level of Quality

A construction project's quality is usually established early in the
design process over which the contractor has little or no input unless the
contractor is involved during the preconstruction process and performs
constructability reviews. The level of quality of the project evolves from the
understanding of the designers of what the owner needs, wants, and is willing
to spend. The design team integrates this information into the project
specifications, which then become a part of the construction contract.

The specifications usually reference some standards by which the quality of
the project is going to be determined. Some of the more common standards
referenced are the American Society for Testing and Materials, American
National Standards Institute, the Construction Specifications Institute,
American Institute of Steel Construction, American Concrete Institute, or
Western Wood Products Association, to name a few. They may also refer to
standards established by various trade organizations such as the Sheet Metal
and Air Conditioning Contractor's National Association, National Electrical
Contractors Association, etc. Construction specifications may normally include
a series of instructions or prohibitions for specific operations.

It is not unusual for the specifications to define quality in terms that may
be vague and open to interpretations. In some cases, the specifications may use
such terms as "normal and customary" or "function for its
intended use" to define quality. You may find measurement spelled out in
terms such as "within a tolerance of plus or minus 0.10 of a foot."
So, before the start of field operations, the contractor must review and fix
the specifications for any and all quality standards that may be vague and open
to interpretation.

Such "loose" standards (not precisely defined) require judgment
and, therefore, are open to interpretation and in all likelihood may lead to
potential misunderstanding, disputes, and/or claims. Such specifications do not
serve the best interest of the owner, the designers, or the contractor. If the
owner or designers allow the incorporation of such "loose" standards,
then it becomes the responsibility of the contractor to comb through the
specifications and ensure that the levels of quality are clear, precise, and
universally understood.

This is an important element of the management of quality because it sets an
objective measure on any expectation by the owner and designer of the quality
level of the final completed project. It also potentially avoids future
misunderstandings and conflicts. The contractor must meet with the designer and
owner to discuss any and all aspects of the specification that are vague or not
easily measurable and reach an understanding of what is intended and document
it. In some cases, samples or mock-ups may be needed to accomplish this.

The Perception of Quality

The characteristics of the final product or service are an important aspect
of quality. That requirement of quality creates an important metric by which
the success of the completed project may be measured. In construction, this may
be viewed as the (characteristics) quality of the product. The key participants
in the project delivery process (the owner team, the design team, and the
constructor team) may view quality from different or multiple perspectives.
Besides the product perspective, quality may also be viewed from the production
point of view as well as other perspectives such as value, utility, process,
inputs, relationships, etc.

For the owner to receive a quality facility (product), the contractor has to
deliver it. To achieve this, the contractor must ensure that the work is put in
place in accordance with the defined quality in the specification as well as
meeting the expectation of the owner. These two factors may not always be the
same. This involves two elements: one, the characteristics or quality of the
product, and two, the value. The owner may look at the completed project from
the budgetary perspective to determine if they have received value for the
money spent. Some owners may also include relationship and responsiveness as
other elements of value.

From the contactor's perspective, the quality of the product must be
managed. This production process has two elements. To effectively accomplish
this, the contractor must have a written, robust program to ensure that the
project's quality requirement is achieved. This is dependent on a group of
people who must ensure that the quality program, procedures, and practices are
rigorously followed. This aspect of the work must be fully integrated with the
production process as well as aligned with the project business goals.

The quality of production focuses on the means and methods employed by the
construction team to perform the work in such a way that it enables the
accomplishment of the project objectives, which are primarily driven by the
schedule. The quality of the process refers to doing the work in such a way
that it is done correctly the first time. This element of the process ensures
efficiency as well as quality. This is only possible if the production and
quality processes are fully integrated.

Another way to look at this is from the systems and people perspective. The
systems factor revolves around how a contractor may have structured their whole
operation in such a way that all of their process, practices, and procedures
are integrated and aligned so as to operate as efficiently as possible to
produce the required quality in the final product. This top to bottom and
across all functions integration not only improves efficiency but eliminates
waste, reduces discrepancies, and improves communication, which enhances
business outcomes. This ensures that the work is conducted in such a way as to
maximize profits. The people factor revolves around how the contractor's
and subcontractors' staffs manage the project delivery processes and the
workers "perform the task right the first time out" so as to minimize
waste and improve efficiency as well as effectiveness.

The contractor may view quality as having two distinct elements. These are
the quality of the product and the quality of the process. The product focuses
on the actual quality achieved at completion, while the process perspective
looks at the contractor's means and methods, which ensures that the work is
prosecuted in such a way so as to achieve the final product quality. This means
that the contractor has devised systems that foster and ensure that the final
quality of the product not only meets but exceeds the owner's
expectations.

The contactor must clearly understand this and effectively manage
expectation associated with quality. So, to achieve it, the contractor must
have a written and robust quality management process and activated a framework
such as a quality management system (QMS). The aim of the QMS (process) is to
create value as well as deliver it. Value is delivered by the people working in
the organization utilizing the operating systems, diligently and with
forethought. For the contractor to effectively manage the quality of the
project, there needs to be an effective written program that lays out the
framework with which to effectively achieve stellar outcomes. This may entail
the incorporation of total quality management (TQM) into the project delivery
process (see Figure 2).

The ASQ defines QMS as "the organizational structure, processes,
procedures and resources needed to implement, maintain and continually improve
the management of quality." TQM is a management approach to the
organizational long-term success achieved through customer satisfaction. TQM
focuses on the development of products and services that meet the needs and
exceed the expectations of key customer groups. To accomplish this, the
contractor must integrate all organizational as well as operational systems.
They must align organizational and employee goals, leading to active
participation and total involvement. This framework must have a customer focus
at its very core.

Figure 2—The Three Elements of Construction Total Quality
Management

Construction total quality management (CTQM) creates a work climate where
all employees are actively engaged in the pursuit of quality, focused on
customer satisfaction, and striving to continuously improve the
organization's products or services. The CTQM system becomes the foundation
for creating value for the customer and contains the following 10 elements.

1. Articulate Mission and Values

The employees know in general terms what the organizational mission is: to
build structures that meet the contractual obligations and generate a profit
for the company. It is management's responsibility to define the mission in
such a way that employees understand the importance of customer focus.
Management must also express the fundamental, immutable values of the
organization and how this is to guide all employee's priorities and
decision-making in their daily activities. The guiding principles are customer
focus and creating value for the customer, which are balanced with doing the
work efficiently and with minimal waste. The organization must also develop a
process to educate new employees during new employee orientation as well as
reinforcing and refocusing these fundamental concepts to all employees.

2. Articulate a Compelling Vision and Winning Strategy

Management needs to articulate the organizational vision so that all
employees clearly understand where the organization is headed, what it is
trying to accomplish, and why. The vision must be couched in terms that excite
and engage employees. Employees need to know how what they do is tied to
organizational strategy and objectives and how this plays a key role in the
relationship between the organization and its customers. Employees must
understand that their day-in and day-out activities are critical to
organizational success.

The organizational strategy is a means of making the vision a reality. More
often than not, senior management articulates the strategy, develops a plan,
holds meetings, and tries to achieve internal alignment. Yet, during the
execution phase, the strategy falls apart. So, the implementation of the
strategy must be planned and executed in such a way that its success is
assured. To effectively execute the strategy, there needs to be effective and
comprehensive planning. Management must guide the process, identify and remove
barriers, provide the necessary resources, enhance the flow of information,
resolve issues, and provide support to ensure the success of the
initiatives.

3. Identify Key Customer Groups

Every organization has customers both external as well as internal. It is of
utmost importance that these groups be identified and their needs and
expectations addressed. Organizations must understand who the key customer
groups are and their importance in providing products and services based on
customer requirements. The mistake many organizations make is not acknowledging
employees as a key customer group. Examples of customer groups include the
following.

Customers

Employees

Partners

Suppliers

Vendors

Agencies

The public

Although the customer is the primary focus of the organization, it is
important to acknowledge that the rest of the list plays a role in ensuring
that the focus remains on the customer and that value is created for them. This
highlights the premise that not only do all of the organizational systems need
to be integrated so as to focus on the customer, but the employees need to be
able to function appropriately within the organizational as well as the
operational systems and be able to manage the work so as to create value for
the customer. This then has to be aligned with the achievement of the quality
proposition.

4. Identify Key Success Factors

Key success factors help an organization focus on those things that help it
meet its overall objectives and move closer to achieving its mission and
vision. Some examples include the following.

Customer satisfaction

Goal attainment

Process improvement

Employee satisfaction

Quality of product or service

Financial performance

These performance-based measures provide a gauge for identifying how the
organization and its operations are doing as well as determining what needs to
change or improve so as to ensure the organization is not only meeting but
exceeding its objectives.

5. Develop Measures and Targets

Once key success factors are identified, measurement tools need to be
developed and put in place to monitor and track achievement of the
organization's goals and objectives. This can be done through the
collection of specific data on the processes, practices, and procedures of the
organization in their pursuit of customer service. This entails the collection
of specific data and the analysis and evaluation of it to create information
that can be reported to management and executive leadership. This leads to
understanding how the organization is doing in creating value for the
customer.

Besides process measures that indicate how well the organization is doing or
achieving their goals or objectives, there is another group of important
measures—progress measures. These indicate the rate at which the organization
is closing in on its intended outcomes. Progress measures may indicate if any
change or improvement in practices or procedures is warranted. They also allow
for fine-tuning what is being done to achieve excellence in the most
expeditious way.

6. Collect Data

A key group of collected data is on the effectiveness and efficiency of the
function of the organizational systems and its people. Another group of data
comes from customers and partners and their perception and quality of the
product or service as well as the inner-group working relationships and
cooperation. The collected data should be on standardized forms or surveys so
that there is consistency in what is collected and in establishing baselines.
The organization may explore the use of technology or software in this
area.

The only way for an organization to know how well they are meeting the
customer's requirements is by simply asking them. This is also true of
their partners in the project delivery process. This feedback should ensure
that a true picture of performance to drive and/or improve the organizational
performance is available to senior leadership as well as management.

7. Analyze Data

The analysis of the collected data should be centralized to garner
consistency in the developed information and distributed to the appropriate
people.

8. Develop Improvement Interventions

The reported information should identify areas in the organizational systems
or the action of the people that would benefit from improvement. This should
generate healthy discussions and further analysis, and it ultimately should
lead to an intervention plan with the objective to correct any and all
discrepancies. The improvement plan should be in writing with goals and rolled
out in the area that requires some form of change.

9. Implement Improvement Plan

The people in that area must be apprised of the shortcomings in the quality
of the product, service, process, practice, or procedures. A compelling reason
for the improvement plan should be given. The plan for the improvement should
be reviewed, any challenges discussed, and commitment to its importance be
solicited in such a manner as to get complete buy-in from everyone
involved.

10. Continuous Improvement Cycle

It is important to monitor improvement on a regular basis to ensure that
there is consistent progress toward goals. If improvement interventions are
deployed, then progress must also be measured and improved if and when
necessary. If satisfactory results are achieved, then it is good marketing to
apprise customers and partners, as well as employees, of how the
organization's internal processes are working, especially if those
processes help to deliver an outstanding product or service of superior
quality!

Conclusion

An effective quality management process focuses on the development of
products and/or services that meets the needs and exceeds the expectations of
key customer groups. This is achieved by the creation of an integrated
operational and process-centered system that involves all levels of the
organization and is focused on not only meeting but exceeding the
customer's expectations. To achieve this, each party in the project
delivery process has to have systems and people operating in such a way as to
create a defect-free, high-quality product or service.

Opinions expressed in Expert Commentary articles are those of the author and are not necessarily held by the author's employer or IRMI. Expert Commentary articles and other IRMI Online content do not purport to provide legal, accounting, or other professional advice or opinion. If such advice is needed, consult with your attorney, accountant, or other qualified adviser.

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